Chinese Media Says India Could Be World’s Next Manufacturing Hub!
A Chinese daily has hinted that the country should move towards becoming a high-end manufacturing hub anticipating that India is soon going to become the world’s next manufacturing center.
The state-run Global Times suggested that Apple’s business expansion in India could affect China’s position as a manufacturing powerhouse because it might encourage other tech-giants to follow suit.
It said, “Apple’s possible supply chain transfer to the South Asian country adds further pressure on China as its domestic manufacturers show a growing interest in offshore production to low-cost countries.”
Even though US President-elect promised in his election campaign to bring manufacturing jobs back to the States, American businesses seems to expanding abroad. The opinion piece also said that one of Apple’s manufacturing partner has plans to develop an assembly facility in India.
It said, “Whether India is ready to embrace the supply chain transfer and replicate China’s success as a manufacturing powerhouse is another story. But the evolving landscape highlights the need for China to design a strategy to retain manufacturing jobs and upgrade its manufacturing industry to maintain competitiveness.”
If Apple does set up assembly facilities in India, then other global tech giants may follow in its footsteps and China may lose its reputation for providing low cost labour since India has a huge supply of working-age laborers as well as low labour costs.
by SHREYA KALRA